First Trust ISE Revere Natural Gas Index Fund
Given the fact that so many U.S. energy firms have invested heavily in natural gas production during the past few years, a broad approach could be best and the First Trust ISE Revere Natural Gas Index Fund (NYSE:FCG) is the best way to do that.
The ETF tracks 31 different energy producers that derive a substantial portion of their revenues from the exploration and production of natural gas. This includes exposure to large-, mid- and small-cap firms, as well as plenty of potential takeover targets, such as Range Resources (NYSE:RRC).
So far, the ETF has been a real stinker, falling about 9.5% this year after losing 7% in 2011. This can be attributed to the continued decline in natural gas prices. However, if Pickens’ prediction comes true, the broad-based fund could charge. And you can get in for a relatively cheap 0.6% in expenses.
As of this writing, Aaron Levitt did not hold a position in any of the aforementioned securities.